Key Points
Alibaba generated consistently higher revenue than Target across the last eight comparable quarters, as measured in U.S. dollars.
The two companies demonstrated mostly steady quarter-over-quarter revenue trends, with both organizations experiencing pronounced seasonal spikes during the holiday quarters.
Investors should watch to determine whether the established revenue gap between the two companies continues to widen or begins to narrow in upcoming quarters.
Alibaba Group: Gradual Growth and Seasonal Spikes
Alibaba Group Holding (NYSE:BABA) primarily generates its core revenue by operating expansive digital e-commerce platforms, facilitating massive daily retail transactions, and providing scalable cloud computing infrastructure to commercial businesses and individual consumers worldwide.
During the broader reporting period leading up to the quarter ended September 2026, it secured a preliminary injunction against a federal regulatory blacklist while simultaneously unveiling an updated artificial intelligence strategy roadmap.
Target: Steady Revenue With Seasonal Retail Peaks
Target (NYSE:TGT) primarily generates its revenue by selling an extensive assortment of general merchandise, seasonal apparel, consumer electronics, and fresh groceries to everyday shoppers through its widespread national network of physical retail stores.
Approaching the recent reporting quarter ended November 2026, it appointed a new executive chief marketing officer and introduced retail price reductions on numerous everyday items while broadly updating its established private-label home goods brand lineup.
Why Revenue Matters for Investors
Revenue gives investors a clear and direct measurement of the total incoming money brought into the business before any operating expenses are subtracted. This metric reveals whether an organization is successfully attracting customers and growing its overall business volume over time.
Alibaba Group Holding vs. Target Revenue over the last 8 quarters. Figures: Alibaba Group Holding shown in U.S. dollars, converted from Chinese yuan.
Quarterly Revenue for Alibaba Group and Target
| Calendar quarter | Alibaba Group Holding Revenue | Target Revenue |
|---|---|---|
| Q3 2024 | $33.0 billion (quarter ended Sept. 30, 2024) | $25.7 billion (quarter ended Nov. 2, 2024) |
| Q4 2024 | $38.9 billion (quarter ended Dec. 31, 2024) | $30.9 billion (quarter ended Feb. 1, 2025) |
| Q1 2025 | $32.5 billion (quarter ended March 31, 2025) | $23.8 billion (quarter ended May 3, 2025) |
| Q2 2025 | $34.2 billion (quarter ended June 30, 2025) | $25.2 billion (quarter ended Aug. 2, 2025) |
| Q3 2025 | $34.6 billion (quarter ended Sept. 30, 2025) | $25.3 billion (quarter ended Nov. 1, 2025) |
| Q4 2025 | $40.2 billion (quarter ended Dec. 31, 2025) | $30.5 billion (quarter ended Jan. 31, 2026) |
| Q1 2026 | $35.1 billion (quarter ended March 31, 2026) | $25.4 billion (quarter ended May 2, 2026) |
| Q2 2026 | $39.4 billion (quarter ended June 30, 2026) | $26.5 billion (quarter ended Aug. 1, 2026) |
Data source: Financial Modeling Prep. Alibaba Group Holding's figures are converted from Chinese yuan to U.S. dollars. Data as of Nov. 1, 2026.
Foolish Take
A look at the revenue trends between Alibaba and Target over the last two years reveals the former is steadily expanding its topline while the latter has struggled to do so. To be fair, Alibaba benefits not only from its foundational e-commerce operations, but also from its cloud computing business. Its second quarter sales in 2026 represented 9% year-over-year growth thanks to the artificial intelligence boom. This is up from just 3% in Q1 and 2% in Q4 of 2025.
While Alibaba has experienced a consistent year-over-year revenue increase every quarter, Target has seen some quarters with year-over-year declines. This is evidence that it is losing out to competitors.
To turn this trend around, Target implemented a multi-year $2 billion strategic turnaround plan under CEO Michael Fiddelke. Instead of relying purely on deep discounts, the retailer is leveraging an "omnichannel" approach focusing heavily on grocery traffic, private label brands, and automated digital fulfillment. The strategy appears to be working, as 2026 quarterly sales returned to year-over-year growth.
Robert Izquierdo has positions in Alibaba Group and Target. The Motley Fool has positions in and recommends Target. The Motley Fool recommends Alibaba Group. The Motley Fool has a disclosure policy.